Pancontinental Oil & Gas has agreed to acquire Australia-based oil and gas explorer Bombora Natural Energy.
Bombora is focused on exploring oil and gas on the onshore Sacramento Gas Basin in the US and Perth Basin in Western Australia.
The acquisition will allow Pancontinental to strengthen and complement its high potential African projects, specifically the ongoing 30% freecarried interest in offshore Namibia PEL 37.
Pancontinental projects in the Sacramento Basin include Dempsey gas project, where it can get a 10% interest by funding 20% of a planned 3,200m well, under a farmin agreement with Sacgasco.
As part of a farm-in agreement with Sacgasco and Xstate Resources, Pancontinental can get a 15% interest in acreage within a large prospective area that includes around three identified prospects near the Dempsey gas project.
The company is also planning to fund upto three wells over 18 months in the Tulainyo gas discovery, while it will earn 10% working interest by funding 13.33% of the next well on the 1982 Alvares discovery under a farmin with Sacgasco and Xstate Resources.
In Perth Basin, the firm will get a 70% operated interest in the southern part of onshore exploration licence EP 447.
Pancontinental CEO Barry Rushworth said: 'We are delighted to reinforce the Company’s oil and gas asset portfolio with a number of exciting new near-term projects, including drilling, through the acquisition of Bombora Natural Energy.
“We look to a new, very positive future for Pancontinental, with an expanded portfolio that we believe to be very attractive to new and existing shareholders.”